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​New DOL Overtime Rules? Don’t Panic!

By now, you’ve probably heard about the Department of Labor’s (DOL) changes to the overtime regulations of the Fair Labor Standards Act (FLSA). The objective of this move is to simplify and modernize the rules so they’re easier for workers and businesses to understand and apply. Specifically, the final rule will (according to

  • Raise the salary threshold indicating eligibility from $455/week to $913 ($47,476 per year), ensuring protections to 4.2 million workers.
  • Automatically update the salary threshold every three years, based on wage growth over time, increasing predictability.
  • Strengthen overtime protections for salaried workers already entitled to overtime.
    Provide greater clarity for workers and employers.
overtime vid shot

Department of Labor “OVERTIME: It’s about time” video

The final rule will become effective on December 1, 2016, giving employers more than six months to prepare. The final rule does not make any changes to the duties test for executive, administrative and professional employees.

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